Exhibit 99.1
ALLEGIANT TRAVEL COMPANY THIRD QUARTER 2012
FINANCIAL RESULTS
39th Consecutive Profitable Quarter
Third Quarter Fully Diluted Earnings per Share of $.87
LAS VEGAS, Oct 24, 2012—Allegiant Travel Company(NASDAQ: ALGT) today reported the following financial results for the third quarter 2012 as well as comparisons to prior year equivalents:
Unaudited | | 3Q12 | | | 3Q11 | | | Change | |
Total operating revenue (millions) | | $216.9 | | | $191.5 | | | 13.2 | % |
Operating income (millions) | | $28.7 | | | $16.7 | | | 71.8 | % |
Operating margin | | 13.3 | % | | 8.7 | % | | 4.5 | pp |
EBITDA (millions) | | $44.6 | | | $27.5 | | | 62.3 | % |
EBITDA margin | | 20.6 | % | | 14.4 | % | | 6.2 | pp |
Net income (millions) | | $16.9 | | | $9.5 | | | 78.6 | % |
Diluted earnings per share | | $0.87 | | | $0.49 | | | 77.6 | % |
| | | | | | | | | |
“We are very proud to report our 39th consecutive profitable quarter,” stated Maurice J. Gallagher, Jr., Chairman and CEO of Allegiant Travel Company. “I'd like to thank our Team Members for their great efforts and contributions to another successful quarter. The third quarter is typically our weakest quarter of the year, and yet we were able to produce the highest third quarter earnings per share in the company's history. This is particularly noteworthy to have done this in a quarter with the average oil price at $92 per barrel and in a demand environment that has been slightly weaker than historical norms.”
Notable company highlights
● | Entered into a lease agreement with GECAS for nine Airbus A319 aircraft on August 27 |
● | Announced intention to acquire ten Airbus A319 aircraft from Cebu Pacific Air on July 30 |
● | Announced service to Honolulu from Boise, Idaho, Phoenix, Ariz and Spokane, Wash to begin in early February 2013 |
● | Announced the formation of Allegiant Systems, a joint venture with AvIntel and Lixar IT to develop and market a wide variety of mobile technology services to the commercial aviation industry |
● | As of October 23, we have converted 40 MD-80s to 166 seat aircraft |
● | Announced fifteen routes, in addition to Hawaii, expected to begin in the fourth quarter of 2012 |
Allegiant Q3 2012 Earnings
Page # 2
Revenue performance
● | Average fare – ancillary air-related revenue per passenger has grown to $37.05 in the third quarter 2012, a $4.66 increase since the first quarter 2012 |
● | September average fare – ancillary air-related revenue per passenger has grown to $38.08, a $5.48 increase since March 2012 |
● | 11th consecutive quarter of year over year increases in total average fare |
| | | 3Q12 | | | 3Q11 | | | Change | |
Scheduled Service: | | | | | | | | | |
Average fare - scheduled service | | $82.30 | | | $84.94 | | | (3.1 | )% |
Average fare - ancillary air-related charges | | $37.05 | | | $30.38 | | | 22.0 | % |
Average fare - ancillary third party products | | $5.59 | | | $5.31 | | | 5.3 | % |
Average fare - total | | $124.94 | | | $120.63 | | | 3.6 | % |
Scheduled service passenger revenue per ASM (PRASM) (cents) | | 7.89 | | | 8.58 | | | (8.0 | )% |
Total scheduled service revenue* per ASM (TRASM) (cents) | | 11.98 | | | 12.19 | | | (1.7 | )% |
Load factor | | 90.1 | % | | 92.2 | % | | (2.1 | )pp |
Passengers (millions) | | 1.6 | | | 1.5 | | | 9.4 | % |
Average passengers per departure | | 143 | | | 136 | | | 5.1 | % |
| | | | | | | | | |
* Total scheduled service revenue includes scheduled service, ancillary air-related, and ancillary third party revenue.
Cost performance
● | Cost per ASM excluding fuel decreased 5.6 percent to 5.4 cents in the third quarter versus the same period in 2011 despite a 10.3 percent decrease in aircraft utilization. Fuel cost per passenger in the third quarter decreased 2.3 percent to $52.07 versus last year |
● | Third quarter ASMs per gallon increased 7.1 percent to 63.3 versus last year, and increased 2.2 percent from the second quarter 2012 |
● | Salaries and benefits expense per passenger increased 1.8 percent despite a 14.9 percent increase in full time equivalent employees |
● | Maintenance and repairs expense per passenger decreased 20.6 percent due primarily to an 84 percent decline in engine overhaul expenses. Year to date, engine overhaul expenses are down 41 percent versus last year. |
● | Sales and marketing expense per passenger decreased 22.1 percent versus last year due to the implementation of a discount for customers paying with less expensive forms of payment. Nearly 40 percent of all transactions in the third quarter were paid by debit card |
| | | 3Q12 | | | 3Q11 | | | Change | |
Total System*: | | | | | | | | | |
Operating expense per passenger | | $108.92 | | | $110.71 | | | (1.6 | )% |
Operating expense per passenger, excluding fuel | | $56.85 | | | $57.43 | | | (1.0 | )% |
Operating expense per ASM (CASM) (cents) | | 10.29 | | | 10.97 | | | (6.2 | )% |
Operating expense, excluding fuel per ASM (CASM ex fuel) (cents) | | 5.37 | | | 5.69 | | | (5.6 | )% |
Average block hours per aircraft per day | | 5.2 | | | 5.8 | | | (10.3 | )% |
| | | | | | | | | |
* Total system includes scheduled service, fixed-fee contract and non-revenue flying.
Allegiant Q3 2012 Earnings
Page # 3
Third party products performance
● | Ancillary revenue – third party products per passenger increased 5.3 percent, our tenth consecutive quarter of year over year increases |
● | Net revenue from car rentals increased 41.3 percent versus the third quarter of 2011 |
● | Year to date rental car days grew 28.1 percent versus last year |
● | Year to date hotel room nights outside of Las Vegas have increased 22.9 percent versus last year |
Supplemental Ancillary Revenue Information Unaudited (thousands) | | 3Q12 | | | 3Q11 | | | Change | |
Gross ancillary revenue - third party products | | $28,311 | | | $27,315 | | | 3.6 | % |
Cost of goods sold | | $(18,475 | ) | | $(18,395 | ) | | 0.4 | % |
Transaction costs* | | $(800 | ) | | $(1,078 | ) | | (25.8 | )% |
Ancillary revenue - third party products | | $9,036 | | | $7,842 | | | 15.2 | % |
As percent of gross | | 31.9 | % | | 28.7 | % | | 3.2 | pp |
As percent of income before taxes | | 34.0 | % | | 52.6 | % | | (18.6) | pp |
Ancillary revenue - third party products/scheduled passenger | | $5.59 | | | $5.31 | | | 5.3 | % |
| | | | | | | | | |
Hotel room nights (thousands) | | 163.4 | | | 164.6 | | | (0.7 | )% |
Rental car days (thousands) | | 183.3 | | | 149.5 | | | 22.6 | % |
| | | | | | | | | |
* Includes payment expenses and travel agency commissions.
Balance sheet highlights
● | Currently have $45 million in share repurchase authority |
Unaudited (millions) | | 9/30/12 | | | 12/31/11 | | | Change | |
Unrestricted cash* | | $371.9 | | | $319.5 | | | 16.4 | % |
Unrestricted cash net of air traffic liability | | $232.5 | | | $200.8 | | | 15.8 | % |
Total debt | | $153.7 | | | $146.1 | | | 5.2 | % |
Total stockholders' equity | | $423.1 | | | $351.5 | | | 20.4 | % |
| | | | | | | | | | |
Nine months ended September 30, | | | | |
Unaudited (millions) | | 2012 | | | 2011 | | | Change | |
Capital expenditures | | $88.8 | | | $69.0 | | | 28.7 | % |
* Unrestricted cash includes investments in marketable securities.
Allegiant Q3 2012 Earnings
Page # 4
At this time, Allegiant Travel Company provides the following guidance to investors, subject to revision.
Guidance, subject to revision | | |
| | |
Revenue guidance | October 2012 | 4Q12 |
Estimated PRASM year-over-year change | (14) to (12)% | (9) to (7)% |
| | | |
Fixed fee and other revenue guidance | | 4Q12 |
Fixed fee and other revenue (millions) | | $9 to $11 |
| | | |
Aircraft guidance | | 4Q12 |
Number of MD-80s to be converted to 166 seats* | | 43 to 45 |
| | | |
Capacity guidance | | |
System | 4Q12 | 1Q13 |
Departure year-over-year growth | +3 to 7% | (8) to (4)% |
ASM year-over-year growth | +17 to 21% | +12 to 16% |
Scheduled | | |
Departure year-over-year growth | +6 to 10% | (2) to 2% |
ASM year-over-year growth | +21 to 25% | +15 to 19% |
| | | |
Cost guidance | 4Q12 | FY12 |
CASM ex fuel – year-over-year change | (3) to (1)% | (7) to (5)% |
| | | |
CAPEX guidance | | FY12 |
Capital expenditures (millions) | | $125 to $135 |
| | | |
| | | |
CASM ex fuel – cost per available seat mile excluding fuel expense
* Number of aircraft expected to be completed by end of the quarter
Allegiant Travel Company will host a conference call with analysts at 4:30 p.m. EDT today, October 24, 2012, to discuss its third quarter 2012 financial results. A live broadcast of the conference call will be available via the Company's Investor Relations website homepage athttp://ir.allegiant.com. The webcast will also be archived in the “Events & Presentations” section of the website.
Allegiant Q3 2012 Earnings
Page # 5
About the Company
Las Vegas-based Allegiant Travel Company (NASDAQ: ALGT) is focused on linking travelers in small cities to world-class leisure destinations. Through its subsidiary, Allegiant Air, the company operates a low-cost, high-efficiency, all-jet passenger airline, and its subsidiary Allegiant Vacations offers other travel-related products such as hotel rooms, rental cars, and attraction tickets through its website,www.allegiant.com. The company was ranked ninth in the 2011 Forbes' Best Small Companies. Allegiant was also recently named one of FORTUNE magazine's “100 Fastest-Growing Companies” for the second consecutive year.ALGT/G
Media Inquiries: Brian Davis
mediarelations@allegiantair.com
Investor Inquiries: Chris Allen
ir@allegiantair.com
Under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, statements in this press release that are not historical facts are forward-looking statements. These forward-looking statements are only estimates or predictions based on our management's beliefs and assumptions and on information currently available to our management. Forward-looking statements include our statements regarding future unit revenue, future operating expense, ASM growth, departure growth, fixed-fee and other revenues, expected capital expenditures and number of aircraft to be modified, as well as other information concerning future results of operations, business strategies, financing plans, competitive position, industry environment, potential growth opportunities, the effects of future regulation and the effects of competition. Forward-looking statements include all statements that are not historical facts and can be identified by the use of forward-looking terminology such as the words "believe," "expect," “guidance,” "anticipate," "intend," "plan," "estimate", “project”, “hope” or similar expressions.
Forward-looking statements involve risks, uncertainties and assumptions. Actual results may differ materially from those expressed in the forward-looking statements. Important risk factors that could cause our results to differ materially from those expressed in the forward-looking statements generally may be found in our periodic reports filed with the Securities and Exchange Commission at www.sec.gov. These risk factors include, without limitation, volatility of fuel costs, labor issues, the effect of the economic downturn on leisure travel, debt covenants, terrorist attacks, risks inherent to airlines, our planned introduction of an additional aircraft type, demand for air services to our leisure destinations from the markets served by us, our dependence on our leisure destination markets, our competitive environment, problems with our aircraft, our reliance on our automated systems, economic and other conditions in markets in which we operate, aging aircraft and other governmental regulation, increases in maintenance costs and cyclical and seasonal fluctuations in our operating results.
Any forward-looking statements are based on information available to us today and we undertake no obligation to update publicly any forward-looking statements, whether as a result of future events, new information or otherwise.
Detailed financial information follows:
Allegiant Travel Company
Consolidated Statements of Income
Three Months Ended September 30, 2012 and 2011
(in thousands, except per share amounts)
(Unaudited)
| | | Three months ended Sept. 30, | | | Percent | |
| | | 2012 | | | 2011 | | | change | |
OPERATING REVENUE: | | | | | | | | | |
Scheduled service revenue | | $133,086 | | | $125,545 | | | 6.0 | |
Ancillary revenue: | | | | | | | | | |
Air-related charges | | 59,915 | | | 44,905 | | | 33.4 | |
Third party products | | 9,036 | | | 7,842 | | | 15.2 | |
Total ancillary revenue | | 68,951 | | | 52,747 | | | 30.7 | |
| | | | | | | | | | |
Fixed fee contract revenue | | 12,084 | | | 9,676 | | | 24.9 | |
Other revenue | | 2,743 | | | 3,532 | | | (22.3 | ) |
Total operating revenue | | 216,864 | | | 191,500 | | | 13.2 | |
| | | | | | | | | | |
OPERATING EXPENSES: | | | | | | | | | |
Aircraft fuel | | 89,928 | | | 84,118 | | | 6.9 | |
Salary and benefits | | 32,865 | | | 29,517 | | | 11.3 | |
Station operations | | 18,601 | | | 17,154 | | | 8.4 | |
Maintenance and repairs | | 18,311 | | | 21,075 | | | (13.1 | ) |
Sales and marketing | | 4,190 | | | 4,919 | | | (14.8 | ) |
Aircraft lease rentals | | - | | | 303 | | | (100.0 | ) |
Depreciation and amortization | | 15,704 | | | 10,676 | | | 47.1 | |
Other | | 8,517 | | | 7,007 | | | 21.5 | |
Total operating expenses | | 188,116 | | | 174,769 | | | 7.6 | |
| | | | | | | | | | |
OPERATING INCOME | | 28,748 | | | 16,731 | | | 71.8 | |
As a percent of total operating revenue | | 13.3 | % | | 8.7 | % | | | |
OTHER (INCOME) EXPENSE: | | | | | | | | | |
Loss (earnings) from unconsolidated affiliates, net | | (92 | ) | | (78 | ) | | 17.9 | |
Interest income | | (230 | ) | | (338 | ) | | (32.0 | ) |
Interest expense | | 2,255 | | | 2,255 | | | 0.0 | |
Total other (income) expense | | 1,933 | | | 1,839 | | | 5.1 | |
| | | | | | | | | | |
INCOME BEFORE INCOME TAXES | | 26,815 | | | 14,892 | | | 80.1 | |
As a percent of total operating revenue | | 12.4 | % | | 7.8 | % | | | |
| | | | | | | | | | |
PROVISION FOR INCOME TAXES | | 9,929 | | | 5,406 | | | 83.7 | |
| | | | | | | | | | |
NET INCOME | | $16,886 | | | $9,486 | | | 78.0 | |
Net loss attributable to noncontrolling interest | | (59 | ) | | - | | | | |
NET INCOME ATTRIBUTABLE TO ALLEGIANT TRAVEL COMPANY | | $16,945 | | | $9,486 | | | 78.6 | |
| | | | | | | | | | |
Earnings per share to common stockholders (1): | | | | | | | | | |
Basic | | $0.88 | | | $0.50 | | | 76.0 | |
Diluted | | $0.87 | | | $0.49 | | | 77.6 | |
| | | | | | | | | | |
Weighted average shares outstanding used in computing earnings per share to commonstockholders (1): | | | | | | | | | |
Basic | | 19,116 | | | 18,940 | | | 0.9 | |
Diluted | | 19,305 | | | 19,128 | | | 0.9 | |
(1) The Company's unvested restricted stock awards are considered participating securities as they receive non-forfeitable rights to cash dividends at the same rate as common stock. The Basic and Diluted earnings per share for the periods presented reflect the two-class method mandated by accounting guidance for the calculation of earnings per share. The two-class method adjusts both the net income and shares used in the calculation. Application of the two-class method did not have a significant impact on the Basic and Diluted earnings per share for the periods presented.
Allegiant Travel Company
Operating Statistics
Three Months Ended September 30, 2012 and 2011
(Unaudited)
| | | Three months ended Sept. 30, | | | Percent | |
| | | 2012 | | | 2011 | | | change* | |
OPERATING STATISTICS | | | | | | | | | |
Total system statistics | | | | | | | | | |
Passengers | | 1,727,117 | | | 1,578,645 | | | 9.4 | |
Revenue passenger miles (RPMs) (thousands) | | 1,598,861 | | | 1,425,002 | | | 12.2 | |
Available seat miles (ASMs) (thousands) | | 1,828,576 | | | 1,593,766 | | | 14.7 | |
Load factor | | 87.4 | % | | 89.4 | % | | (2.0 | ) |
Operating revenue per ASM (RASM) (cents) | | 11.86 | | | 12.02 | | | (1.3 | ) |
Operating expense per ASM (CASM) (cents) | | 10.29 | | | 10.97 | | | (6.2 | ) |
Fuel expense per ASM (cents) | | 4.92 | | | 5.28 | | | (6.8 | ) |
Operating CASM, excluding fuel (cents) | | 5.37 | | | 5.69 | | | (5.6 | ) |
Operating expense per passenger | | $108.92 | | | $110.71 | | | (1.6 | ) |
Fuel expense per passenger | | $52.07 | | | $53.28 | | | (2.3 | ) |
Operating expense per passenger, excluding fuel | | $56.85 | | | $57.43 | | | (1.0 | ) |
ASMs per gallon of fuel | | 63.3 | | | 59.1 | | | 7.1 | |
Departures | | 13,080 | | | 12,527 | | | 4.4 | |
Block hours | | 29,644 | | | 28,050 | | | 5.7 | |
Average stage length (miles) | | 860 | | | 845 | | | 1.8 | |
Average number of operating aircraft during period | | 61.9 | | | 52.3 | | | 18.4 | |
Average block hours per aircraft per day | | 5.2 | | | 5.8 | | | (10.3 | ) |
Full-time equivalent employees at period end | | 1,775 | | | 1,545 | | | 14.9 | |
Fuel gallons consumed (thousands) | | 28,881 | | | 26,973 | | | 7.1 | |
Average fuel cost per gallon | | $3.11 | | | $3.12 | | | (0.3 | ) |
| | | | | | | | | | |
Scheduled service statistics | | | | | | | | | |
Passengers | | 1,617,031 | | | 1,478,046 | | | 9.4 | |
Revenue passenger miles (RPMs) (thousands) | | 1,519,124 | | | 1,347,896 | | | 12.7 | |
Available seat miles (ASMs) (thousands) | | 1,686,230 | | | 1,462,636 | | | 15.3 | |
Load factor | | 90.1 | % | | 92.2 | % | | (2.1 | ) |
Departures | | 11,320 | | | 10,834 | | | 4.5 | |
Average passengers per departure | | 143 | | | 136 | | | 5.1 | |
Scheduled service seats per departure | | 161.9 | | | 150.9 | | | 7.3 | |
Block hours | | 26,781 | | | 25,306 | | | 5.8 | |
Yield (cents) | | 8.76 | | | 9.31 | | | (5.9 | ) |
Scheduled service revenue per ASM (PRASM) (cents) | | 7.89 | | | 8.58 | | | (8.0 | ) |
Total ancillary revenue per ASM (cents) | | 4.09 | | | 3.61 | | | 13.3 | |
Total scheduled service revenue per ASM (TRASM) (cents) | | 11.98 | | | 12.19 | | | (1.7 | ) |
Average fare - scheduled service | | $82.30 | | | $84.94 | | | (3.1 | ) |
Average fare - ancillary air-related charges | | $37.05 | | | $30.38 | | | 22.0 | |
Average fare - ancillary third party products | | $5.59 | | | $5.31 | | | 5.3 | |
Average fare - total | | $124.94 | | | $120.63 | | | 3.6 | |
Average stage length (miles) | | 910 | | | 892 | | | 2.0 | |
Fuel gallons consumed (thousands) | | 26,343 | | | 24,435 | | | 7.8 | |
Average fuel cost per gallon | | $3.31 | | | $3.32 | | | (0.3 | ) |
Percent of sales through website during period | | 90.6 | % | | 88.2 | % | | 2.4 | |
* Except load factor and percent of sales through website, which is percentage point change.
Allegiant Travel Company
Consolidated Statements of Income
Nine Months Ended September 30, 2012 and 2011
(in thousands, except per share amounts)
(Unaudited)
| | | Nine months ended Sept. 30, | | | Percent | |
| | | 2012 | | | 2011 | | | change | |
OPERATING REVENUE: | | | | | | | | | |
Scheduled service revenue | | $446,368 | | | $387,387 | | | 15.2 | |
Ancillary revenue: | | | | | | | | | |
Air-related charges | | 172,537 | | | 136,212 | | | 26.7 | |
Third party products | | 27,940 | | | 23,122 | | | 20.8 | |
Total ancillary revenue | | 200,477 | | | 159,334 | | | 25.8 | |
| | | | | | | | | | |
Fixed fee contract revenue | | 31,530 | | | 31,168 | | | 1.2 | |
Other revenue | | 7,506 | | | 7,291 | | | 2.9 | |
Total operating revenue | | 685,881 | | | 585,180 | | | 17.2 | |
| | | | | | | | | | |
OPERATING EXPENSES: | | | | | | | | | |
Aircraft fuel | | 286,557 | | | 249,759 | | | 14.7 | |
Salary and benefits | | 99,362 | | | 90,266 | | | 10.1 | |
Station operations | | 57,702 | | | 50,180 | | | 15.0 | |
Maintenance and repairs | | 54,868 | | | 57,422 | | | (4.4 | ) |
Sales and marketing | | 15,141 | | | 15,576 | | | (2.8 | ) |
Aircraft lease rentals | | - | | | 948 | | | (100.0 | ) |
Depreciation and amortization | | 40,836 | | | 30,722 | | | 32.9 | |
Other | | 24,488 | | | 25,037 | | | (2.2 | ) |
Total operating expenses | | 578,954 | | | 519,910 | | | 11.4 | |
| | | | | | | | | | |
OPERATING INCOME | | 106,927 | | | 65,270 | | | 63.8 | |
As a percent of total operating revenue | | 15.6 | % | | 11.2 | % | | | |
OTHER (INCOME) EXPENSE: | | | | | | | | | |
Loss (earnings) from unconsolidated affiliates, net | | (56 | ) | | (92 | ) | | (39.1 | ) |
Interest income | | (741 | ) | | (1,000 | ) | | (25.9 | ) |
Interest expense | | 6,529 | | | 5,286 | | | 23.5 | |
Total other (income) expense | | 5,732 | | | 4,194 | | | 36.7 | |
| | | | | | | | | | |
INCOME BEFORE INCOME TAXES | | 101,195 | | | 61,076 | | | 65.7 | |
As a percent of total operating revenue | | 14.8 | % | | 10.4 | % | | | |
| | | | | | | | | | |
PROVISION FOR INCOME TAXES | | 37,423 | | | 22,488 | | | 66.4 | |
| | | | | | | | | | |
NET INCOME | | $63,772 | | | $38,588 | | | 65.3 | |
Net loss attributable to noncontrolling interest | | (59 | ) | | - | | | | |
NET INCOME ATTRIBUTABLE TO ALLEGIANT TRAVEL COMPANY | | $63,831 | | | $38,588 | | | 65.4 | |
| | | | | | | | | | |
Earnings per share to common stockholders (1): | | | | | | | | | |
Basic | | $3.32 | | | $2.03 | | | 63.5 | |
Diluted | | $3.29 | | | $2.01 | | | 63.7 | |
| | | | | | | | | | |
Weighted average shares outstanding used in computing earnings per share to common stockholders (1): | | | | | | | | | |
Basic | | 19,053 | | | 18,927 | | | 0.7 | |
Diluted | | 19,260 | | | 19,109 | | | 0.8 | |
(1) The Company's unvested restricted stock awards are considered participating securities as they receive non-forfeitable rights to cash dividends at the same rate as common stock. The Basic and Diluted earnings per share for the periods presented reflect the two-class method mandated by accounting guidance for the calculation of earnings per share. The two-class method adjusts both the net income and shares used in the calculation. Application of the two-class method did not have a significant impact on the Basic and Diluted earnings per share for the periods presented.
Allegiant Travel Company
Operating Statistics
Nine Months Ended September 30, 2012 and 2011
(Unaudited)
| | | Nine months ended Sept. 30, | | | Percent | |
| | | 2012 | | | 2011 | | | change* | |
OPERATING STATISTICS | | | | | | | | | |
Total system statistics | | | | | | | | | |
Passengers | | 5,320,823 | | | 4,678,885 | | | 13.7 | |
Revenue passenger miles (RPMs) (thousands) | | 4,935,215 | | | 4,276,723 | | | 15.4 | |
Available seat miles (ASMs) (thousands) | | 5,607,485 | | | 4,788,343 | | | 17.1 | |
Load factor | | 88.0 | % | | 89.3 | % | | (1.3 | ) |
Operating revenue per ASM (RASM) (cents) | | 12.23 | | | 12.22 | | | 0.1 | |
Operating expense per ASM (CASM) (cents) | | 10.32 | | | 10.86 | | | (5.0 | ) |
Fuel expense per ASM (cents) | | 5.11 | | | 5.22 | | | (2.1 | ) |
Operating CASM, excluding fuel (cents) | | 5.21 | | | 5.64 | | | (7.6 | ) |
Operating expense per passenger | | $108.81 | | | $111.12 | | | (2.1 | ) |
Fuel expense per passenger | | $53.86 | | | $53.38 | | | 0.9 | |
Operating expense per passenger, excluding fuel | | $54.95 | | | $57.74 | | | (4.8 | ) |
ASMs per gallon of fuel | | 62.2 | | | 58.8 | | | 5.8 | |
Departures | | 40,813 | | | 37,194 | | | 9.7 | |
Block hours | | 94,387 | | | 85,694 | | | 10.1 | |
Average stage length (miles) | | 869 | | | 859 | | | 1.2 | |
Average number of operating aircraft during period | | 59.6 | | | 51.5 | | | 15.7 | |
Average block hours per aircraft per day | | 5.8 | | | 6.1 | | | (4.9 | ) |
Fuel gallons consumed (thousands) | | 90,170 | | | 81,386 | | | 10.8 | |
Average fuel cost per gallon | | $3.18 | | | $3.07 | | | 3.6 | |
| | | | | | | | | | |
Scheduled service statistics | | | | | | | | | |
Passengers | | 5,015,066 | | | 4,384,370 | | | 14.4 | |
Revenue passenger miles (RPMs) (thousands) | | 4,708,257 | | | 4,031,758 | | | 16.8 | |
Available seat miles (ASMs) (thousands) | | 5,206,489 | | | 4,366,323 | | | 19.2 | |
Load factor | | 90.4 | % | | 92.3 | % | | (1.9 | ) |
Departures | | 35,803 | | | 32,226 | | | 11.1 | |
Average passengers per departure | | 140 | | | 136 | | | 2.9 | |
Scheduled service seats per departure | | 158.0 | | | 150.3 | | | 5.1 | |
Block hours | | 86,145 | | | 77,019 | | | 11.8 | |
Yield (cents) | | 9.48 | | | 9.61 | | | (1.4 | ) |
Scheduled service revenue per ASM (PRASM) (cents) | | 8.57 | | | 8.87 | | | (3.4 | ) |
Total ancillary revenue per ASM (cents) | | 3.85 | | | 3.65 | | | 5.5 | |
Total scheduled service revenue per ASM (TRASM) (cents) | | 12.42 | | | 12.52 | | | (0.8 | ) |
Average fare - scheduled service | | $89.01 | | | $88.36 | | | 0.7 | |
Average fare - ancillary air-related charges | | $34.40 | | | $31.07 | | | 10.7 | |
Average fare - ancillary third party products | | $5.57 | | | $5.27 | | | 5.7 | |
Average fare - total | | $128.98 | | | $124.70 | | | 3.4 | |
Average stage length (miles) | | 914 | | | 901 | | | 1.4 | |
Fuel gallons consumed (thousands) | | 82,889 | | | 73,483 | | | 12.8 | |
Average fuel cost per gallon | | $3.37 | | | $3.30 | | | 2.1 | |
Percent of sales through website during period | | 89.8 | % | | 88.6 | % | | 1.2 | |
* Except load factor and percent of sales through website, which is percentage point change.
Allegiant Travel Company
Non-GAAP Presentations
Quarters Ended September 30, 2012 and 2011
(Unaudited)
"EBITDA" represents earnings before interest expense, income taxes, depreciation and amortization. EBITDA is not a calculation based on generally accepted accounting principles and should not be considered as an alternative to net income or operating income as indicators of our financial performance or to cash flow as a measure of liquidity. EBITDA is included as a supplemental disclosure because we believe it is a useful indicator of our operating performance. Further, EBITDA is a well-recognized performance measurement that is frequently used by securities analysts, investors and other interested parties in comparing the operating performance of companies. We believe EBITDA is useful in evaluating our operating performance compared to our competitors because its calculation generally eliminates the effects of financing and income taxes and the accounting effects of capital spending and acquisitions, which items may vary between periods and for different companies for reasons unrelated to overall operating performance. The following represents the reconciliation of EBITDA to net income for the periods indicated below.
The SEC has adopted rules (Regulation G) regulating the use of non-GAAP financial measures. Because of our use of the non-GAAP financial measure EBITDA to supplement our consolidated financial statements presented on a GAAP basis, Regulation G requires us to include in this press release a presentation of the most directly comparable GAAP measure, which is net income, and a reconciliation of the non-GAAP measure to the most comparable GAAP measure. Our utilization of a non-GAAP measurement is not meant to be considered in isolation or as a substitute for net income or other measures of financial performance prepared in accordance with GAAP. EBITDA is not a GAAP measurement and our use of it may not be comparable to similarly titled measures employed by other companies in the airline and travel industry. The reconciliations to GAAP net income follow.
| | | Three months ended Sept. 30, | | | Percent | |
(in thousands) | | 2012 | | | 2011 | | | change | |
Net income attributable to Allegiant Travel Company | | $16,945 | | | $9,486 | | | 78.6 | |
Plus (minus) | | | | | | | | | |
Interest income | | (230 | ) | | (338 | ) | | (32.0 | ) |
Interest expense | | 2,255 | | | 2,255 | | | - | |
Provision for income taxes | | 9,929 | | | 5,406 | | | 83.7 | |
Depreciation and amortization | | 15,704 | | | 10,676 | | | 47.1 | |
EBITDA | | $44,603 | | | $27,485 | | | 62.3 | |
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